You are right promoters lent money to the company which was interest free. Pls check Q1 FY16 ppt they have mentioned that interest is payable @14% from Q1 as things have improved. This fact alone is a major comfort factor regarding promoters.
@varun_kejriwal I think what they mean is that Bretton can supply other equipments like granite cutting and polishing machines to other players in India. Quartz remains exclusive though.
@KS16 did any one ask about promoters’ extremely high compensation levels? In fact they could have taken dividend route which is more tax efficient too! I know minority can’t change that but i’m interested in their reactions.
Diamond Power Infra finally appears to have got its act together. Fundamentally speaking a number of positives are there for this company
1) The company has turned profitable and the promoters have put out an investors presentation which paints quite a rosy future for the company. It may or may not happen but it appears that atleast the next 2 quarters too the Company may show good results.
2) They have appointed KPMG as auditors to boost investors confidence
3) The promoters have contributed additional equity at 52 rupees
4) There is to be value unlocking by way of IPO for the transformer business
5) The capacity expansion is getting completed at the right time; just when there is a demand pickup
6) The falling raw material prices of Aluminum and Copper will add to its profitability.
And technically too, the stock is showing all the sihns of bottom formation on Monthly and Weekly charts. The detailed technical analysis is as given in the above chart.
For any student of Rational Analysis, this is a good stock for investment…its a good company at a good price and at the takeoff time. If the NIFTY behaves well in September, then there is a good chance of this stock taking off. It becomes a very good buy once it crosses 42.50 – 43 levels.
This stock can be held for the long term with a price target of around 180-190, which is the first resistance level on monthly charts.
Disclosure: I hold a good quantity of the stock at an average of around 44 and will buy more above 43 if the NIFTY stays positive in September 2015. Thus my views are positively biased insofar as Diamond Power Infra is concerned.
Well they have given the names of the funds in which they have invested. It’s tough to cook it up.
Also they have reputed auditors. The business is generating a lot of cash and that can be validated as they ramp up margins in UP. Which you can check by listening to calls of competitors.
Goa Cabinet “extends the dead line”
http://www.ndtv.com/india-news/goa-extends-deadline-for-off-shore-casinos-relocation-1212018
In short, is it good rating to have it or it is ok ok kind ?
Point 4 was asked by many a shareholder in the AGM (but when it came to voting, there was still a majority which okayed it). Many shareholders were asking whether the same 30% off-paying only 25% feature will be applicable to minority holders as well ? The reply was ‘all these aspirations will be taken up at board level’ and that is where it quietly got closed out.
PS- invested
Hi Rohit,
My question is is there any way to make sure other than trusting management to know if the 325Cr cash which have been invested in Mutual funds is for real?
